Course Outline of Record

Item	Value
Curriculum Committee Approval Date	04/19/2022
Top Code	050200 - Accounting
Units	3 Total Units
Hours	54 Total Hours (Lecture Hours 54)
Total Outside of Class Hours	0
Course Credit Status	Credit: Degree Applicable (D)
Material Fee	No
Basic Skills	Not Basic Skills (N)
Repeatable	No
Grading Policy	Standard Letter (S),  Pass/No Pass (B)
Local General Education (GE)	GWC Lifelong Understanding (GE)

Course Description

Formerly: Accounting for Small Business, Accounting Elements. This course is an introduction to accounting covering basic accounting principles and the practice of accounting methods and rules. Students will learn how to analyze business transactions, record sales and purchases, and reconcile bank accounts. At the conclusion of the course, students will understand the double-entry accounting system as well as know how to prepare financial statements. Transfer Credit: CSU.

Course Level Student Learning Outcome(s)

1. Course Outcomes
2. Perform basic accounting functions such as recording journal entries, posting to general ledger accounts, and preparing trial balances.
3. Complete the accounting cycle for a business entity to set the foundation for further study in accounting.
4. Utilize accounting modules to record sales, cash receipts, purchases, cash payments, and other business transactions.
5. Prepare financial statements and other common accounting reports such as accounts receivable aging, accounts payable listing, and bank reconciliations.

Course Objectives

• 1. Demonstrate the rules of double entry accounting as they apply to assets, liabilities, equity, revenues, and expenses.
• 2. Complete the accounting cycle for a business entity, starting with analyzing business transactions all the way to compiling a post-closing trial balance.
• 3. Define the purpose of accruals and deferrals and demonstrate adjustments for prepaid expenses, deferred revenues, depreciation, accrued revenues, and accrued expenses.
• 4. Manage accounts receivable through proper establishment of collection policies, optimize cash flow, and reconcile the accounts receivable general ledger account to the subsidiary ledger.
• 5. Manage accounts payable through proper timing of cash payments, maximize cash discounts, and reconcile the accounts payable general ledger account to the subsidiary ledger.
• 6. Define the cash function, internal controls surrounding cash, and perform bank reconciliations.
• 7. Define and record business transactions for merchandising operations.

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Lecture Content

Accounting: The language of business The need for accounting and financial information Users of financial information Definition of accounting  Types of business entities  Generally accepted accounting principles (GAAP)  Accounting elements    Assets, liabilities, equity, revenues, expenses  The accounting equation Financial statements Income statement Statement of owners equity Balance sheet  Double-entry accounting   Analyzing business transactions Rules of debit and credit Chart of accounts Journal entries General journal The T account General ledger Posting Account balances Trial balance Errors and their effect The adjusting process and the worksheet  Prepaid expenses adjustments: supplies, rent, etc. Depreciation adjustment Deferred revenues adjustment Accrued revenues adjustment Accrued expenses adjustment: salaries, interest, etc. Adjusted trial balance Sections of the worksheet Preparing financial statements  The closing process  Temporary and permanent accounts  Closing entries  Post-closing trial balance  Closing process for merchandising operations under a periodic inventory system The accounting cycle Financial statements revisited Multiple-step income statement Classified balance sheet Reversing entries Sales transactions Sales orders, sales invoices  Cash sales, sales on account Sales tax Sales returns and allowances Trade discounts, cash discounts Sales discounts Net sales Cash receipts Accounts receivable general ledger control account Accounts receivable subsidiary ledger Purchases transactions Purchase requisitions, purchase orders Cash purchases, purchases on account Purchase returns and allowances Purchase discounts Net cost of purchases Cash payments Accounts payable general ledger control account Accounts payable subsidiary ledger Perpetual inventory system versus periodic inventory system Internal controls over purchasing  Cash General cash transactions Petty cash Internal controls over cash Banking procedures Payroll  Overview of payroll laws Gross earnings Hourly employees Salaried employees Employee taxes and withholdings Payroll taxes - FICA Income taxes - federal, state Other voluntary and involuntary withholdings Journal entries Employee earnings records Distribution of payroll Employer payroll taxes - FICA, unemployment Workers compensation Payroll tax forms

Lab Content

N/A

Method(s) of Instruction

• Lecture (02)
• DE Live Online Lecture (02S)
• DE Online Lecture (02X)

Reading Assignments

Textbook Current periodicals

Writing Assignments

Accounting cycle projects

Out-of-class Assignments

Assignments through the publisher portal Additional adaptive exercises, readings, and videos as appropriate

Demonstration of Critical Thinking

Transaction analysis - Identify the financial impact of a business transaction or event on an organizations assets, liabilities, equity, revenues, and expenses.  Analysis of accruals and deferrals - At the end of an accounting period, determine which assets require depreciation and/or amortization, which liabilities have been satisfied, and apply revenue and expense recognition principles to account balances. Bank reconciliations - At the end of an accounting period, compare the bank items that have cleared the bank, the items that remain outstanding, and adjust the cash balance for any other items identified through the reconciliation process that have not yet been recorded.

Required Writing, Problem Solving, Skills Demonstration

Preparation of journal entries Maintainence of general ledger account balances Compilation of trial balance Preparation of financial statements

Textbooks Resources

1. Required Haddock, David; Price, John; Farina, Michael. College Accounting: A Contemporary Approach, 5th ed. McGraw Hill, 2021